Type of On-Grid Activities

Type of grid activities 

 

Grid extension:

Benin, Ghana, Nicaragua, Nepal

 

Grid densification(with and without transformation):

Bolivia, Peru, Mozambique, Uganda

 

 

Costs

<span />	Benin	Ghana <span />	Nicaragua	Bolivien	Peru	Mozambique
Costs/ Connection (€)	2000	5540	220-588	62	90	134
Tariff	Social tariff	Social tariff	Social tariff	Social tariff	Social tariff	Social tariff
Security of energy supply	Medium	Medium	High	High	High	high

Financial support

<span />	Benin	Ghana <span />	Nicaragua	Bolivien	Peru	Mozambique
EnDev subsidy	70%	99%	100%	20%	22%	100%
Government	30%	0%	0%	0%	0%	0%
Utility	0%	0%	0%	0-80%	0%	0%
Customer	0%	1%	0%	0-80%	78%	0%

Additional Support

• Procurement support

• Developing local standards for grid connection

• Facilitating group applications for grid connections

• Training of local electricians for in-house wiring

• Training of consumers in energy use and efficiency

• Ex-ante savings for connection fees

• Introduction of installment payments of the connection fee linked to the electricity bills

Lessons learnt

• Some utilities are not interested in grid densification

• Poor households are often excluded in extension projects

• Some utilities have great difficulties to organize efficient procurement processes causing severe delays

• Free rider effect difficult to avoid (efficient selection process or accept the effect)

• Detailed monitoring is considered a burden and not always implemented

• In several countries power generation capacity cannot keep up with  grid extension
• In rural areas several households are connected to a meter to save the connection fee which can be legal or illegal according to national and local regulation. In some of these case voltage drop can be a severe problem